Published: Saturday, November 24, 2012 at 5:27 p.m.

Last Modified: Saturday, November 24, 2012 at 5:27 p.m.

As the economy improved in recent decades and credit cards became more widespread, the loser was layaway programs that proved less popular with consumers.

But as the economy soured in recent years, layaway has made a comeback.

The idea of layaway is to pay for items in increments over a select period of time until the items are paid in full. With credit, most people skipped the layaway process all together and just purchased items in full with a commitment to pay the money back.

Now that many people cannot obtain credit like they once were able to, many stores have revived their layaway programs so consumers can avoid post-holiday debt. Walmart was one of them.

“We listened to our customers and what they wanted,” said Debie Wishon, a Walmart spokesperson. “What we found out is during Christmas our customers like layaway better.”

Walmart discontinued its layaway program in 2006 because it was becoming less popular and credit card usage was up. But it brought layaway back last year. To help with holiday shopping, Toys R Us, Burlington Coat Factory, Marshall's, TJ Maxx, Sears, Kmart, Best Buy and Hallmark are some other well-known retailers that also offer layaway.

Mary Chauvin, pricing lead at Kmart on Monarch Drive in Houma, said the store has been very successful this year with layaway.

“We have a higher usage than we did last year. It's about 30 percent more,” she said.

Kmart offers layaway year round. The company offers different incentive programs once in a while, but the main offers come around for the holidays.

Kmart offered its customers free layaway from Oct. 28 to Nov. 21. Most layaway programs have an opening fee and a down payment of 10 percent. For about a month, leading up to Black Friday, Kmart waved its fee.

“It really has helped us. It was supposed to end the 17th. It helps out the people you know,” Chauvin said.

Customers who have layaway at Kmart can run the chance of being randomly selected to have their layaway items purchased for them.

“What's cool is that the company picks layaway from each store and pays it off. One week it was a $10 layaway, and this week it was a hundred-and-something-dollar layaway,” Chauvin said.

The company also has “layaway angels” who come into the store and pay off people's layaway items for them.

“They randomly pick a person and pay it all but one penny so it can stay in the system. When the person comes to pay on it, they are surprised and happy that someone did this for them,” Chauvin said.

Anyone can pay on a person's layaway, but only the person who signed for the account can pick up the merchandise.

To make things smoother for the customers, Kmart introduced the Blue Lightning Card. An employee scans the card, scans all the items in the customer's shopping cart and boxes up everything. When the customer is ready to set up an account, all the person has to do is give the cashier the card and the items put on layaway are rung up.

“It frees up the line and makes everything go faster,” Chauvin said.

To add to the convenience, electronics can be put on layaway in the electronics department and jewelry can be put on layaway in the jewelry department.

Walmart has added an incentive as well to make its layaway more popular — an extra month to its layaway program.

“This year it started in September. We added different categories in addition to electronics, toys and jewelry. We added small appliances and sporting goods. We know because of the economy our customers are strapped and we added that extra time to be able to give the customers the Christmas that they want,” Wishon said.

Walmart does not have year-round layaway like Kmart. Its layaway program ends Dec. 14. Jewelry is the only item customers can put on layaway year round.

Staff Writer Sable LeFrere can be reached at 985-857-2204 or at sable.lefrere@houmatoday.com.

<p>As the economy improved in recent decades and credit cards became more widespread, the loser was layaway programs that proved less popular with consumers.</p><p>But as the economy soured in recent years, layaway has made a comeback.</p><p>The idea of layaway is to pay for items in increments over a select period of time until the items are paid in full. With credit, most people skipped the layaway process all together and just purchased items in full with a commitment to pay the money back.</p><p>Now that many people cannot obtain credit like they once were able to, many stores have revived their layaway programs so consumers can avoid post-holiday debt. Walmart was one of them.</p><p>“We listened to our customers and what they wanted,” said Debie Wishon, a Walmart spokesperson. “What we found out is during Christmas our customers like layaway better.”</p><p>Walmart discontinued its layaway program in 2006 because it was becoming less popular and credit card usage was up. But it brought layaway back last year. To help with holiday shopping, Toys R Us, Burlington Coat Factory, Marshall's, TJ Maxx, Sears, Kmart, Best Buy and Hallmark are some other well-known retailers that also offer layaway.</p><p>Mary Chauvin, pricing lead at Kmart on Monarch Drive in Houma, said the store has been very successful this year with layaway.</p><p>“We have a higher usage than we did last year. It's about 30 percent more,” she said.</p><p>Kmart offers layaway year round. The company offers different incentive programs once in a while, but the main offers come around for the holidays.</p><p>Kmart offered its customers free layaway from Oct. 28 to Nov. 21. Most layaway programs have an opening fee and a down payment of 10 percent. For about a month, leading up to Black Friday, Kmart waved its fee.</p><p>“It really has helped us. It was supposed to end the 17th. It helps out the people you know,” Chauvin said.</p><p>Customers who have layaway at Kmart can run the chance of being randomly selected to have their layaway items purchased for them.</p><p>“What's cool is that the company picks layaway from each store and pays it off. One week it was a $10 layaway, and this week it was a hundred-and-something-dollar layaway,” Chauvin said.</p><p>The company also has “layaway angels” who come into the store and pay off people's layaway items for them. </p><p>“They randomly pick a person and pay it all but one penny so it can stay in the system. When the person comes to pay on it, they are surprised and happy that someone did this for them,” Chauvin said.</p><p>Anyone can pay on a person's layaway, but only the person who signed for the account can pick up the merchandise.</p><p>To make things smoother for the customers, Kmart introduced the Blue Lightning Card. An employee scans the card, scans all the items in the customer's shopping cart and boxes up everything. When the customer is ready to set up an account, all the person has to do is give the cashier the card and the items put on layaway are rung up.</p><p>“It frees up the line and makes everything go faster,” Chauvin said.</p><p>To add to the convenience, electronics can be put on layaway in the electronics department and jewelry can be put on layaway in the jewelry department. </p><p>Walmart has added an incentive as well to make its layaway more popular — an extra month to its layaway program.</p><p>“This year it started in September. We added different categories in addition to electronics, toys and jewelry. We added small appliances and sporting goods. We know because of the economy our customers are strapped and we added that extra time to be able to give the customers the Christmas that they want,” Wishon said.</p><p>Walmart does not have year-round layaway like Kmart. Its layaway program ends Dec. 14. Jewelry is the only item customers can put on layaway year round.</p><p>Staff Writer Sable LeFrere can be reached at 985-857-2204 or at sable.lefrere@houmatoday.com.</p>